37 U.S. Code § 211 - Participation in Thrift Savings Plan

(b) Authority.— Any member may participate in the Thrift Savings Plan in accordance with section
8440e of title
5.

(c) Rule of Construction Regarding Separation.— For purposes of subchapters III and VII of chapter
84 of title
5, each of the following actions shall, in the case of a member participating in the Thrift Savings Plan in accordance with section 8440e of such title, be considered a separation from Government employment:

(1)Release of the member from active duty, not followed, before the end of the 31-day period beginning on the day following the effective date of the release, by—

(A)a resumption of active duty; or

(B)an appointment to a position covered by chapter 83 or 84 of title
5 or an equivalent retirement system, as identified by the Executive Director (appointed by the Federal Retirement Thrift Investment Board) in regulations.

(2)Transfer of the member to inactive status, or to a retired list pursuant to any provision of title 10.

(1)The Secretary concerned may enter into an agreement with a member to make contributions to the Thrift Savings Fund for the benefit of the member if the member—

(A)

(i)is in a specialty designated by the Secretary as critical to meet requirements (whether such specialty is designated as critical to meet wartime or peacetime requirements); and

(ii)commits in such agreement to continue to serve on active duty in that specialty for a period of 6 years; or

(B)is enlisting in the armed forces for the first time and the period of the member’s enlistment is not less than two years.

(2)Under any agreement entered into with a member under paragraph (1)(A), the Secretary shall make contributions to the Fund for the benefit of the member for each pay period of the 6-year period of the agreement for which the member makes a contribution to the Fund under section
8440e of title
5 (other than under subsection (d)(2) thereof).

(3)In the case of a member described by paragraph (1)(B), the Secretary shall make contributions to the Fund for the benefit of the member for each pay period of the enlistment of the member described in that paragraph for which the member makes a contribution to the Fund under section
8440e of title
5 (other than under subsection (d)(2) thereof).

(4)Paragraph (2) of section
8432(c) of title
5 applies to the Secretary’s obligation to make contributions under this subsection, except that the reference in such paragraph (2) to contributions under paragraph (1) of such section
8432(c) does not apply.

(e) Repayment of Amounts Borrowed From Member Account.— If a loan is issued to a member under section
8433(g) of title
5 from funds in the member’s account in the Thrift Savings Plan, repayment of the loan may be required on the same semi-monthly basis as authorized for contributions to the Thrift Savings Fund on behalf of the member under section
1014(c) of this title.

Section and amendment by Pub. L. 106–65effective 180 days after Oct. 30, 2000, unless postponed, see section 663 ofPub. L. 106–65, as amended, set out as a note under section
8440e of Title
5, Government Organization and Employees.

Pilot Program on Contributions to Thrift Savings Plan for Initial Enlistees in the Army

“(a) Pilot Program Required.—During the period beginning on January 6, 2006, and ending on December 31, 2008, the Secretary of the Army shall use the authority provided by section
211(d)(1)(B) of title
37, United States Code, as amended by section
605, to carry out within the Army a pilot program in order to assess the extent to which contributions by the Secretary to the Thrift Savings Fund on behalf of members of the Army described in subsection (b) would—

“(1) assist the Army in recruiting efforts; and

“(2) assist such members in establishing habits of financial responsibility during their initial enlistment in the Armed Forces.

“(b) Covered Members.—To be eligible to participate in the pilot program under subsection (a), a member of the Army must be serving under an initial enlistment for a period of not less than two years.

“(c) Contributions to Thrift Savings Fund.—

“(1) In general.—The Secretary of the Army may make contributions to the Thrift Savings Fund on behalf of any participant in the pilot program under subsection (a) for any pay period during the period of the pilot program.

“(2) Limitations.—The amount of any contributions made with respect to a member under paragraph (1) shall be subject to the provisions of section
8432(c) of title
5, United States Code.

“(d) Report.—

“(1) In general.—Not later than February 1, 2008, the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report on the pilot program under subsection (a).

“(2) Elements.—The report shall include the following:

“(A) A description of the pilot program, including the number of members of the Army who participated in the pilot program and the contributions made by the Army to the Thrift Savings Fund on behalf of such members during the period of the pilot program.

“(B) An assessment, based on the pilot program and taking into account the views of officers and senior enlisted personnel of the Army, and of field recruiters, of the extent to which contributions by the military departments to the Thrift Savings Fund on behalf of members of the Armed Forces similar to the participants in the pilot program—

“(i) would enhance the recruiting efforts of the Armed Forces; and

“(ii) would assist such members in establishing habits of financial responsibility during their initial enlistment in the Armed Forces.”

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